The hearing was an 'Overview of the United States' Freight Transportation System' with a panel giving their testimony on the current operation of the freight network in the U.S and how improving freight transportation can strengthen our economy. Besides Mr. DeFabis, the witnesses included: Mr. David Abney, Chief Operating Officer, United Parcel Service; Mr. Tracy Rosser, Senior Vice President, Transportation, Walmart; Mr. Edward R. Hamberger, President & CEO, Association of American Railroads; Mr. Scott Satterlee, Senior Vice President, Transportation, C.H. Robinson Worldwide; on behalf of the Transportation Intermediaries Association; and Mr. Richard Fisher, President, Falcon Global Edge; on behalf of the Airforwarders Association. Special Committee Chairman John J. Duncan, Jr. (R-TN) of the Panel on 21st Century Freight Transportation presided over this hearing.

Moving freight safely and efficiently throughout the U.S. significantly impacts the lives of every American each day, from our clothes, food, cars, etc. The U.S. transportation system moved approximately 17.6 billion tons of goods in 2011, valued at over $18.8 trillion. Within the next 30 years, the Federal Highway Administration estimates there will be an additional 60% of freight that will need to be moved across our country. For this reason, it's extremely important that Congress finds ways to improve efficiency, safety and performance of our freight network.

Some of the topics discussed included multi-modal freight services, including intermodal transportation (shipments being transported via truck to train for improved efficiency), in addition to specifics regarding our Nation's highways, railroads, air cargo, cargo ships, ports, inland waterways and pipelines.

Mr. DeFabis' testimony discussed why independent warehouses are vital to the economy, identifying efficiencies in the supply chain, the challenges of today's regulations, and why it's necessary to have smooth commerce in the future. Warehouse based third party logistics (3PL) providers, such as IDS, play a key role in the economy through ecommerce. The increase in ecommerce shipments goes directly to the consumer's doorstep, utilizing many modes of transportation services in the process. He discussed bottlenecks and chokepoints in the supply chain that hinder such third party logistics providers, like IDS.

On behalf of the IWLA, Mr. DeFabis discussed policy proposals that should be implemented and regulations that need to be changed in order to improve efficiencies. Some of the proposals presented by Mr. DeFabis are to develop new approaches to infrastructure financing for all commercial transit modes, implement policies to ensure that revenue designated for commercial freight projects cannot be diverted in the same way Highway Trust Funds are today, and guarantee that fees that are collected on imports at the ports for the U.S. Harbor Maintenance Trust Fund are used for their intended purpose.

"A strong logistics industry enables a healthy and growing economy. But a strong logistics industry is only possible with freight policies that support the needs of the 21st century supply chain." He concludes his testimony, "…our industry stands ready to continue to work in partnership with the committee on ways to enhance commercial freight movement that would result in economic growth for the economy".

For over fifty years, IDS has delivered a comprehensive mix of supply chain logistics services that include transportation, transportation management, warehouse and distribution, and order fulfillment to customers in diverse industries. Located just outside of Indianapolis, Indiana, IDS provides the optimal fulfillment center location for Midwest, East Coast, and National order fulfillment and distribution services.

About International Warehouse Logistics Association (IWLA):

IWLA is a trade association of warehouse logistics providers that helps members run high-quality, profitable businesses. IWLA focuses on the warehouse logistics business, providing ideas and information that make it easier for member companies to succeed.